Keep in mind that most companies will have common shares, but not all preferred shares. The calendar date, which defines the last day on which the buyer can buy the stock under these conditions, should be discussed. For this purpose, enter the two-digit month and calendar day in the first empty line of section “IV. Deadline”. The second blank line in this section shows the two-digit calendar year of the reference date. Enter this number as desired to confirm the closing date of the share purchase. The opening of this Agreement shall specify the date on which these documents are to be applied to the Participating Parties, which shall be made available in terms of content. In the article ” I. The parties” enter the month and calendar day in the declaration submitted between the word “From” and the number “20”, and then fill in this information with the two-digit year corresponding to the next line. The third element of this Agreement, “Purchase Price”, expects the expected amount of money for all shares sold. This requires multiplying the “number of shares” listed above by the documented “price ($) per share”.

Once this task is complete, write the resulting number in the blank line before the word “dollars” and specify it numerically in the line in parentheses. It is worth mentioning that the amount you set here is expected by the buyer on the closing date of this contract. What is a share purchase agreement? A share purchase agreement is an essential legal contract that documents the specific details of an agreement between a buyer of shares in the company and the seller and aims to protect both parties involved in the transaction. The reality is that if you sell shares of your company, there is no scenario where it is a good idea not to create a share purchase agreement. This can be a great tool for companies that offer stock options to ensure that shares can be repurchased by the company if an employee does not stay in the company. In some cases, the buyer may need to perform a period of time during which a stock status check must be performed. This research is considered the “due diligence period”, which is the title of the sixth section. If the seller and buyer agree that a period of time for such a search should be allowed, check the first box in this section. The exact date and time of the schedule at which due diligence ends must be recorded. At that time, the buyer must make his decision as to whether to proceed with this transaction.

Document the month and calendar day discussed in the line after “. The buyer must have until “, then note the corresponding calendar year in the following blank line. Once you`re done, set the final time of day when the buyer needs to make the purchase or cancellation decision using the formatted lines that follow the word “To” to do so. Finally, complete this selection by selecting the “AM” or “PM” field to better define the time recorded above. In the following example, the AM check box is selected to meet the condition of this declaration that the warehouse buyer or buyer be given before 9:00 a.m. .m. on March 1, 2020 to present the results of his due diligence. If no due diligence consideration is required for this Agreement to continue, check the “Does not” box in Section VI. Due diligence period. The main difference with an asset purchase agreement is that the buyer does not receive the seller`s liabilities. When buying shares, the buyer receives all the company`s obligations in addition to its assets. PandaTip: These statements are all warranties of the seller: (a) means that the company has been officially established and exists; (b) means that there are no problems between the corporation and the State in which it was created and that all ongoing requirements have been met; © means that there is no ongoing or ongoing litigation with the Company; (d) means that the Seller is the only person who owns the Shares; (e) means that there are no legal restrictions on the Shares and that buyer will own them without such restrictions at the end of the transfer; (f) means that Seller has the right to sell the Shares without an agreement with another person or company; and (g) means that Seller has not entered into any agreement with any other person granting rights in the Actions to third parties.

Use our Share Purchase Agreement (SPA) to register the share purchase and protect both buyers and sellers. CONSIDERING that the Seller [NUMBER] holds shares of [TYPE] shares corresponding to [PERCENTAGE] of the outstanding shares of [NAME OF COMPANY], a [State] Company (the “Company”); and the purchase of shares can be made by agreement or online, depending on whether the company is not listed on the stock exchange. For private companies, a physical share certificate is usually transferred and received from the seller`s buyer. .